Somany Ceramics Q1 FY26 Earnings Results

Somany Ceramics Ltd is engaged in manufacturing and trading of complete decor solutions, its products include ceramic wall and floor tiles, polished vitrified tiles, glazed vitrified tiles, sanitary-ware, bath fittings and allied products. Presenting below are its Q1 FY26 earnings results.

 

Q1 FY26 Earnings Results

• Revenue: ₹604 crore, up 4.4% year-over-year (YoY).

• Net Profit (PAT): ₹7.3 crore, down about 40.05% YoY; sequential decline from Q4 FY25.

• EBITDA Margin: Around 8%, under pressure from increased operating expenses; dipped from 10.8% in Q4 FY25 and nearly flat YoY.

• Tile Volume: Flat YoY (two-year CAGR +4%), with tile segment revenue down about 3% due to lower realizations (–2% YoY).

• Utilization Rate: 81%, below last quarter’s 89% but above Q1 FY25’s 70%.

• EPS: ₹3.53, down by 15.3% over the last year.

• Segmental Performance: Bathware continued double-digit growth, helping offset margin impact in tiles.

• Operating Highlights: Margins reflect lower plant utilization and pricing pressure amid industry-wide demand softness and ongoing competitive challenges (notably Morbi region dumping).

 

Management Commentary & Strategic Highlights

• Management remains optimistic about demand recovery, retaining double-digit revenue guidance for FY26 despite near-term pressures.

• July demand was weak, but better than June; outlook expects gradual improvement through FY26, especially in H2 with anticipated normalization of utilization rates.

• Cost controls and focus on improving product mix expected to support margin expansion by 1–1.5% versus FY25.

• The newly commissioned Max plant (large-sized tiles) in Gujarat, currently ramping up from 35–37% utilization, is projected to drive both volume and mix upgrades.

• Bathware segment delivered strong growth, with management focusing on expansion and product innovation.

• No major capacity additions planned; capex focused on efficiency, branding (annual spend 2.75–3% of sales), and ramp-up of premium segments.

• Company continues to address competitive pricing and supply overhang from external players, aiming for stable growth and gradual margin recovery.

 

 

Q4 FY25 Earnings Results

• Revenue: ₹769 crore, up 4.2% YoY.

• Net Profit: ₹18.7 crore, down 44.7% YoY.

• EBITDA Margin: 10.8%, higher than Q1 FY26 but below previous years.

• EPS: ₹5.2, down by 31%.

• Segmental Trends: Tiles volume up 3% YoY to 20.4 MSM; bathware segment revenue grew 17.9% YoY and 32.4% QoQ. Margin pressure persisted, leading to APAT miss for the quarter.

 

To view the company’s previous earnings and latest concall transcripts, click here  to visit the Alphastreet India news channel.